What is the State Horticulture Mission for mushroom farming?

State Horticulture Mission (SHM) is the state-level implementation arm of MIDH (Mission for Integrated Development of Horticulture). Each state runs its own SHM that disburses central MIDH funds. Mushroom units are eligible at 40% of the cost norm in general states and 50% in NE and Himalayan states and Scheduled Areas — up to ₹12 lakh (₹15 lakh) on a production unit. Any state top-up counts only once the state confirms it for your project.

How is State Horticulture Mission different from NHB?

SHM pays MIDH assistance against fixed cost norms: ₹30 lakh for a production unit, so up to ₹12 lakh at 40%; credit linkage is optional for projects up to ₹30 lakh. NHB prices an integrated unit by capacity — ₹75,000 per tonne above 50 MT at 35%, up to ₹78.75 lakh — needs a sanctioned term loan, and releases into the loan account after commissioning. You may claim one or the other on a project, never both.

Which states have the best mushroom subsidies in 2026?

The central rates are the same everywhere: MIDH pays 40%, and 50% in NE and Himalayan states, Scheduled Areas, Andaman & Nicobar and Lakshadweep. The state figures we have read in primary documents: Bihar pays 90% on mushroom kits, and Andhra Pradesh approved a mushroom item at ₹30 lakh under PM-RKVY in March 2025. Other state top-ups change every year — confirm with the district horticulture officer before you count one.

How do I apply for State Horticulture Mission subsidy?

Apply through your district Horticulture Officer or the state SHM portal: submit DPR, land documents, KYC, project cost estimate, and bank account details. After in-principle approval, complete construction within the stipulated time, request joint inspection, then claim subsidy with utilisation certificate and asset photos.

Can I stack State Horticulture Mission with bank loan and other schemes?

Your margin money and a bank term loan fund the build; the MIDH subsidy through SHM is released back-ended, after inspection. NABARD refinances the bank — it pays no subsidy. NHB and MIDH/SHM cannot be claimed on the same project. A state top-up over MIDH counts only once the state confirms it for your project.

State-Level Schemes

State Horticulture Mission — Mushroom Subsidy by State (2026)

Complete state-wise mushroom subsidy map for India — central MIDH + State Horticulture Mission top-ups, dedicated state mushroom schemes (Bihar Mushroom Kit, Uttarakhand DBT, J&K HADP, Odisha MKUY, Kerala Mushroom Villages, Meghalaya Shiitake Centre, Tripura Organic), and NE MOVCDNER. Central rates follow the MIDH Operational Guidelines 2025 (see our subsidy page); state rates appear only where we have read them in a primary document.

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The short answer

What is the State Horticulture Mission subsidy for mushroom farming?

State Horticulture Mission (SHM) is the state-level implementation of MIDH. It pays mushroom production units 40% of the ₹30 lakh cost norm — up to ₹12 lakh — and 50% (up to ₹15 lakh) in NE and Himalayan states and Scheduled Areas, credit-linked and back-ended. A state top-up counts only once the state confirms it. NHB is the alternative for units above 50 MT, never on top of MIDH.

State-Wise Mushroom Schemes

State	Scheme	What we can confirm
Bihar	Mushroom Kit & Mushroom Hut Scheme (State)	90% on mushroom kits (₹75, ₹90 or ₹300 a kit by type). Portal: horticulture.bihar.gov.in
Uttarakhand	Mushroom Production & Marketing (DBT)	MIDH at 50% (NE / Himalayan state: up to ₹15 lakh on a production unit); compost, spawn and training support to confirm. Portal: shm.uk.gov.in
Jammu & Kashmir	HADP Mushroom Cluster (2023-28)	Climate-controlled units, spawn, training and market linkage. Portal: hadp.jk.gov.in
Himachal Pradesh	Development of Mushroom Services (eUdyan)	MIDH at 50% (NE / Himalayan state: up to ₹15 lakh on a production unit); compost and training support via the HP Mushroom Project, Solan. Portal: eudyan.hp.gov.in
Uttar Pradesh	UP State Horticulture Mission	MIDH 40% (up to ₹12 lakh on a production unit); confirm any state top-up with the district horticulture officer
Haryana	Haryana State Horticulture Mission	MIDH 40% (up to ₹12 lakh on a production unit); confirm any state top-up with the district horticulture officer
Punjab	Punjab Horticulture Department	MIDH 40% (up to ₹12 lakh on a production unit); crop-diversification incentives to confirm
Rajasthan	MIDH Mushroom Component (Raj Kisan)	MIDH 40% (up to ₹12 lakh on a production unit), credit-linked, back-ended. Portal: rajkisan.rajasthan.gov.in
Gujarat	Mushroom Production Unit (i-Khedut 2.0)	MIDH 40% (up to ₹12 lakh on a production unit). Portal: ikhedut.gujarat.gov.in
Madhya Pradesh	MP State Horticulture Mission	MIDH 40% (up to ₹12 lakh on a production unit); confirm any state top-up with the district horticulture officer
Maharashtra	Maharashtra Horticulture Mission	MIDH 40% (up to ₹12 lakh on a production unit); state schemes such as Bhausaheb Fundkar to confirm with the department
Karnataka	Karnataka Horticulture Mission	MIDH 40% (up to ₹12 lakh on a production unit), or NHB for units above 50 MT — never both on one project
Tamil Nadu	TN Horticulture — Mushroom Declared Agri Activity (Aug 2024)	MIDH 40% (up to ₹12 lakh on a production unit); mushroom counted as an agricultural activity. Portal: tnhorticulture.tn.gov.in
Andhra Pradesh	AP Mushroom Mission + PM-RKVY	A mushroom item approved at ₹30 lakh under the PM-RKVY Annual Action Plan (March 2025); MIDH 40% (up to ₹12 lakh on a production unit)
Telangana	MIDH via TS Horticulture Dept	Standard MIDH 40% (up to ₹12 lakh on a production unit) (no dedicated state mushroom scheme confirmed); apply via district HO
Kerala	Mushroom Villages Initiative (RKVY)	Cluster infrastructure, spawn and market linkage; confirm the component with the department. Portal: shm.kerala.gov.in
Odisha	Mukhyamantri Krushi Udyog Yojana — MKUY	State capital subsidy for production and processing; confirm the rate and ceiling. Portal: sugam.odisha.gov.in
West Bengal	WB Horticulture — Shiitake Promotion (Kalimpong)	MIDH 40% (up to ₹12 lakh on a production unit); shiitake cluster work in the hills. Portal: wbhorticulture.gov.in
Meghalaya	Shiitake Centre (Upper Shillong, 2024) + HMNEH	MIDH at 50% (NE / Himalayan state: up to ₹15 lakh on a production unit). Portal: megagriculture.gov.in
Tripura	Organic Mushroom Initiative + Seed Hub (2024-25)	MIDH at 50% (NE / Himalayan state: up to ₹15 lakh on a production unit); SHG-led oyster cultivation. Portal: agri.tripura.gov.in
Sikkim	GPDP Mushroom Training (2025) + MOVCDNER	MIDH at 50% (NE / Himalayan state: up to ₹15 lakh on a production unit); GPDP training in Dzongu Block
NE States (8)	MOVCDNER — Organic Mushroom Value Chain	Organic certification, FPO, processing and market linkage for AS, MN, ML, MZ, NL, SK, TR, AR; confirm the component with the state agriculture department

We publish a state rate only when we have read it in a primary document. Schemes change with budget cycles — verify this year's rates with your district Horticulture Officer, or contact us for an updated DPR.

How the Funding Fits Together

Central MIDH: 40% of fixed cost norms (50% in NE and Himalayan states, Scheduled Areas) — up to ₹12 lakh on a production unit — applied for through the State Horticulture Department
Or NHB instead of MIDH for units above 50 MT: 35% of ₹75,000 per tonne — never both on one project
State assistance: counts only where the state confirms it for your project — ask the district horticulture officer
Bank term loan and your margin money fund the build; NABARD refinances the bank and pays no subsidy
The subsidy is back-ended: plan to build first and receive it after inspection — a DPR and a bankable BOQ are the key

Frequently Asked Questions

Related Resources

→ MIDH central subsidy → NHB credit-linked subsidy → AP Mushroom Mission → NABARD loan → PMEGP scheme → Download sample DPR

NHB and MIDH mushroom subsidy — current rules

Eligibility, rates and ceilings for each scheme, cited clause by clause from the current documents. NHB and MIDH are a choice, never a stack.

Read the subsidy guide

The company behind the build

Why Choose MushroomWale

01
Engineering Expertise
Agrimotion Engineering Private Limited is a registered EPC company (CIN U43900UP2023PTC185328, GSTIN 09AAZCA0158R1ZP) based in Firozabad, Uttar Pradesh.
02
Proven Track Record
Turnkey mushroom projects from a 2-room starter to a 20-room commercial farm.
03
Bank-Recognized DPRs
Bank-format DPRs prepared to NABARD, NHB and MIDH norms for loan and subsidy applications.